Trading

Mix Value & Quantity with New Equivolume Charts

NinjaTrader’s award-winning buying and selling charts embrace 100+ out-of-the-box indicators in addition to a number of bar sorts and chart types to assist analyze futures, foreign exchange, shares, & CFDs.

With the brand new Equivolume chart fashion for NinjaTrader eight, merchants can simply see which bars acquired probably the most relative quantity just by evaluating their widths.

Why Are Equivolume Charts Distinctive?

Equivolume charts are easy of their design. Every candlestick represents the open, excessive, low and shut of the time interval specified, and the width of the bar reveals the interval’s relative quantity in comparison with different bars. The broader the bar, the larger the quantity.

Above is a 5-minute Equivolume chart of Micro E-mini Nasdaq Futures (MNQ). A quantity indicator is within the decrease panel to offer a greater understanding of how Equivolume charts work. You’ll be able to see clearly which value bars acquired extra quantity relative to the encircling bars.

Benefit of Equivolume Charts

With Equivolume charts, a quantity indicator is now not required to see relative quantity. You’ll be able to shortly view each value and relative quantity data for every specified interval, successfully killing two birds with one stone.

Moreover, basic technical evaluation chart patterns corresponding to cup and deal with, wedges, double tops and head and shoulders are nonetheless seen, however with quantity constructed straight into the patterns. This makes it a lot simpler for merchants to substantiate patterns with elevated quantity to assist confirm a commerce thesis.

On the whole, huge bars are thought of extra vital than skinny bars since excessive quantity is often current throughout vital value strikes. Value breakouts or different strikes are generally accompanied by comparatively larger buying and selling quantity. Viewing a mixture of attention-grabbing value motion and wider-than-average bars can sign a dealer to take motion.

Within the Micro E-mini S&P 500 (MES) futures chart above, the huge inexperienced bar previous to the breakout above the 200-day SMA helps affirm a bullish thesis.

Just like different indicators and chart types, Equivolume charts are topic to false alerts and correct threat administration together with protecting stops are paramount in unpredictable markets.

NinjaTrader is all the time free for superior charting, technique backtesting and simulated buying and selling. Get began immediately with our award-winning buying and selling platform, suited to all ranges of merchants from newbie to skilled!

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